Amendment to Current Report (Form 8-K/A)

UPDATE - First Watch Restaurant Group, Inc. Reports 2025 Financial Results and Provides Outlook for 2026

•Total revenues increased 20.3% to $1.2 billion, with System-wide sales up 16.1% to $1.4 billion

•Income from operations margin of 2.3% and Restaurant level operating profit margin of 18.5%

•Net income of $19.4 million and Adjusted EBITDA of $120.9 million

•64 system-wide restaurants opened across 23 states

BRADENTON, Fla. -February 24, 2026- First Watch Restaurant Group, Inc. (NASDAQ: FWRG) ("First Watch" or the "Company"), the leading Daytime Dining concept serving breakfast, brunch and lunch, today reported financial results for the thirteen weeks ended December 28, 2025 ("Q4 2025") and the 52-week fiscal year ended December 28, 2025 ("2025") compared to the thirteen weeks ended December 29, 2024 ("Q4 2024") and the 52-week fiscal year ended December 29, 2024 ("2024") and provided an outlook for the 52-week fiscal year ending December 27, 2026 ("2026").

"2025 was a year of significant progress on a number of fronts for First Watch. In addition to continuing our industry-leading new restaurant growth of nearly 11%, we increased total revenues by more than 20%, which included same-restaurant sales growth of 3.6% and positive same-restaurant traffic," said Chris Tomasso, CEO and President of First Watch. "As we look to 2026 and beyond, we are energized by the growth opportunities across all facets of our business, particularly the expansion of our evolving digital marketing platform."

Highlights for Q4 2025 compared to Q4 2024

•Total revenues increased 20.2% to $316.4 million in Q4 2025 from $263.3 million in Q4 2024

•System-wide sales increased 16.1% to $353.1 million in Q4 2025 from $304.1 million in Q4 2024

•Same-restaurant sales growth of 3.1%

•Same-restaurant traffic growth of negative 1.9%

•Income from operations increased to $9.0 million in Q4 2025 from $3.9 million in Q4 2024

•Income from operations margin increased to 2.9% in Q4 2025 from 1.5% in Q4 2024

•Restaurant level operating profit* increased to $59.6 million in Q4 2025 from $49.0 million in Q4 2024

•Restaurant level operating profit margin* increased to 19.0% in Q4 2025 from 18.8% in Q4 2024

•Net income of $15.2 million in Q4 2025 compared to Net income of $0.7 million in Q4 2024

•Adjusted EBITDA* increased to $33.7 million in Q4 2025 from $24.3 million in Q4 2024

•Opened 13 system-wide restaurants (12 company-owned and 1 franchise-owned) across 11 states

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*See Non-GAAP Financial Measures Reconciliations section below.

Highlights for 2025 compared to 2024:

•Total revenues increased 20.3% to $1.2 billion in 2025 from $1.0 billion in 2024

•System-wide sales increased to $1.4 billion in 2025 from $1.2 billion in 2024

•Same-restaurant sales growth of 3.6%

•Same-restaurant traffic growth of 0.5%

•Income from operations decreased to $27.5 million in 2025 from $38.9 million in 2024

•Income from operations margin decreased to 2.3% in 2025 from 3.9% in 2024

•Restaurant level operating profit* increased to $224.1 million in 2025 from $201.8 million in 2024

•Restaurant level operating profit margin* decreased to 18.5% in 2025 from 20.1% in 2024

•Net income increased to $19.4 million in 2025 from $18.9 million in 2024

•Adjusted EBITDA* increased to $120.9 million in 2025 from $113.8 million in 2024

•Opened 64 system-wide restaurants (55 company-owned and 9 franchise-owned) across 23 states resulting in a total of 633 system-wide restaurants (560 company-owned and 73 franchise-owned) across 32 states

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*See Non-GAAP Financial Measures Reconciliations section below.

Outlook Fiscal Year 2026

The Company provides the following outlook for the 52-week fiscal year ended December 27, 2026:

•Same-restaurant sales growth to be between 1% to 3%

•Total revenue growth of 12%-14%(1)

•Adjusted EBITDA* in the range of $132 million to $140 million (1)

•Total of 59 to 63 new system-wide restaurants, including 3 company-owned restaurant closures (53 to 55 new company-owned restaurants and 9 to 11 new franchise-owned restaurants)

•Capital expenditures in the range of $150.0 million to $160.0 million invested primarily in new restaurant projects and planned remodels

The Company reiterates its long-term annual financial targets as follows:

•Percentage unit growth in the low double digits

•Same-restaurant sales growth of ~3.5%

•Restaurant sales growth in the mid-teens

•Adjusted EBITDA percentage growth in the mid-teens

The Company continues to see a long-term opportunity for more than 2,200 restaurants across the United States.

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(1) Includes net impact of approximately 1.0% in total revenue growth and approximately $2.0 million in Adjusted EBITDA associated with acquisitions completed in 2025.

*We have not reconciled guidance for Adjusted EBITDA to the corresponding GAAP financial measure because we do not provide guidance for the various reconciling items. We are unable to provide guidance for these reconciling items because we cannot determine their probable significance, as certain items are outside of our control and cannot be reasonably predicted due to the fact that these items could vary significantly from period to period. Accordingly, reconciliations to the corresponding GAAP financial measure is not available without unreasonable effort.

Conference Call and Webcast

Chris Tomasso, Chief Executive Officer and President, and Mel Hope, Chief Financial Officer, will host a conference call and webcast today to discuss these financial results for Q4 2025 at 8:00 AM ET.

Interested parties may listen to the conference call via any one of two options:

-Dial 201-389-0914, which will be answered by an operator

-Join the webcast at https://investors.firstwatch.com/news-and-events/events

The webcast will be archived shortly after the call has concluded.

Definitions

The following definitions apply to these terms as used in this release:

System-wide restaurants: the total number of restaurants, including all company-owned and franchise-owned restaurants.

System-wide sales: consists of restaurant sales from our company-owned restaurants and franchise-owned restaurants. We do not recognize the restaurant sales from our franchise-owned restaurants as revenue.

Same-restaurant sales growth: the percentage change in year-over-year restaurant sales (excluding gift card breakage) for the comparable restaurant base, which we define as the number of company-owned First Watch branded restaurants open for 18 months or longer as of the beginning of the fiscal year ("Comparable Restaurant Base"). For the year ended 2025, this operating metric compares the 52-week periods ended December 28, 2025 and December 29, 2024 with the 52-week period ended December 31, 2023, versus the 53-week fiscal year ended December 31, 2023, in order to compare like-for-like periods. For the 52-weeks ended December 28, 2025 and December 29, 2024, there were 381 restaurants and 344 restaurants in our Comparable Restaurant Base. Measuring our same-restaurant sales growth allows Management to evaluate the performance of our existing restaurant base. We believe this measure is useful for investors to provide a consistent comparison of restaurant sales results and trends across periods within our core, established restaurant base, unaffected by results of store openings, closings and other transitional changes.

Same-restaurant traffic growth: the percentage change in traffic counts for the 52-week period ended December 28, 2025 and December 29, 2024 as compared to the 52-week period ended December 31, 2023 using the Comparable Restaurant Base, versus the 53-week fiscal year ended December 31, 2023 in order to compare like-for-like periods. Measuring our same-restaurant traffic growth allows Management to evaluate the performance of our existing restaurant base. We believe this measure is useful for investors because same-restaurant traffic provides an indicator as to the development of our brand and the effectiveness of our marketing strategy.

Adjusted EBITDA: a non-GAAP measure, is defined as net income before depreciation and amortization, interest expense, income taxes and items that the Company does not consider in the evaluation of its ongoing core operating performance.

Adjusted EBITDA margin: a non-GAAP measure, is defined as Adjusted EBITDA as a percentage of total revenues.

Restaurant level operating profit: a non-GAAP measure, is defined as restaurant sales, less restaurant operating expenses, which include food and beverage costs, labor and other related expenses, other restaurant operating expenses, pre-opening expenses and occupancy expenses. Restaurant level operating profit excludes corporate-level expenses and other items that we do not consider in the evaluation of the ongoing core operating performance.

Restaurant level operating profit margin: a non-GAAP measure, is defined as Restaurant level operating profit as a percentage of restaurant sales.

About First Watch

First Watch is the leading Daytime Dining concept serving made-to-order breakfast, brunch and lunch using the freshest ingredients available. Guided by its "Follow the Sun" culinary philosophy, First Watch's chef-driven menu rotates multiple times per year to feature the highest-quality flavors at their peak, offering elevated executions of classic favorites, fresh juices like the Kale Tonic, and fan favorites such as the Lemon Ricotta Pancakes, Quinoa Power Bowl and signature Million Dollar Bacon. For every kid's meal served, First Watch proudly donates a portion to organizations and causes making a positive impact to our communities - raising approximately $2.0 million to date. A recipient of many "Best Breakfast" and "Best Brunch" awards, First Watch was voted #1 Best Breakfast by Newsweek's Readers' Choice Awards 2025, and also named 2025 and 2024's #1 Most Loved Workplace in America by the Best Practice Institute - an accolade most recently featured in The Wall Street Journal - after appearing on the list in 2022 and 2023, as well. With a commitment to quality, hospitality and community, First Watch is redefining Daytime Dining across more than 630 First Watch restaurants in 32 states. For more information, visit www.firstwatch.com.